ING Groep NV unit ING Bank Śląski SA tasked a team of specialists to analyze a potential acquisition of Commerzbank AG's Polish unit, mBank SA, and determine the state of its financial situation, Rzeczpospolita reported.
However, due to ING Bank Śląski's relatively small capital surplus over regulatory requirements compared to the size and capitalization of mBank, ING's Polish unit will have to carry out an additional share issuance, which would have to be taken up by the Dutch parent, in the event of a potential takeover, the newspaper noted in its Oct. 15 report.
ING Groep was eyeing a potential merger with Commerzbank earlier in 2019 but decided to give up on a tie-up with the German lender.
The potential purchase of mBank by ING Bank Śląski would result in the creation of the second-largest bank in Poland, with combined assets worth almost 290 billion Polish zlotys and a market share of 14.6%.
MBank is an interesting acquisition target, and the majority of large banks in Poland are expected to show interest in the lender, Rzeczpospolita noted.
Media outlets previously reported that Poland's largest financial institutions, PKO Bank Polski SA and Bank Pekao SA, are also potential suitors to purchase mBank. The Polish state holds significant stakes in both banks.
As of Oct. 14, US$1 was equivalent to 3.90 Polish zlotys.